Biden Wants to Turn America’s Auto Fleet Electric. It’s Harder than It Seems.

July 29, 2021

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by Juliet Eilperin and Dino Grandoni (Washington Post) When it comes to meeting President Biden’s climate goals, the math is clear: Half of all cars and SUVs sold in 2030 need to be electric. Next week, the president, major carmakers and the nation’s largest auto union plan to promise to reach at least 40 percent by then — potentially rising to the 50 percent mark with generous federal investment.

The voluntary pledge, which is still under negotiation, highlights the challenge the White House faces as it seeks to translate the president’s bold rhetoric into reality.

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The administration’s plan to transition the nation’s auto fleet to electric vehicles running on renewable power is critical to making the United States carbon neutral by 2050. The nation needs to stop selling gas- and diesel-powered cars by 2035, which means half of new vehicles in 2030 must be electric.

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Automakers, however, have emphasized that they need a major federal investment in a nationwide network of charging stations for electric vehicles, along with billions more in tax credits and grants to help retool their factories.

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The distance that current models can go on one charge is about 130 miles to over 400 miles, with the typical range 250 to 300 miles.

It’s unclear if Congress will spend enough on charging stations to assuage automakers.

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In addition, the Environmental Protection Agency and Transportation Department will propose tightening tailpipe emission standards for cars and light trucks between model years 2023 and 2026. READ MORE

Electric Cars for Everyone? Not Unless They Get Cheaper.President Biden has made conversion to E.V.s a pillar of climate policy. But government incentives mostly help affluent buyers, not average families. (New York Times)

Transmission for renewables in largest power market may cost $3B (E&E News)

President Biden’s electric car order doesn’t make it easier to buy one. Here’s why (Sacremento Bee)

Detroit sticks with trucks, SUVs despite lofty 2030 goals for EVs (Reuters/U.S. News and World Report)

Fires, probes, recalls: The shift to electric vehicles is costing automakers billions (CNBC; includes VIDEO)

Federal fleet electrification faces delays (E&E News/Climatewire)

Excerpt from New York Times: At the high end, a Tesla Model S starts at more than $80,000, and at the low end, a Chevrolet Bolt starts at $31,000 — nearly $10,000 more than a larger gasoline-powered sedan like the Chevy Malibu.

A federal tax credit can lower the sticker price by as much as $7,500, but it no longer applies to Tesla and General Motors models. In addition, some Americans do not owe enough in income taxes to take advantage of the credit, and others can’t manage to pay thousands of dollars in anticipation of a refund the following year.

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The people here are not Hollywood stars or billionaire tech entrepreneurs who might own Ferraris and private jets. But they are well off. The median household income in the area exceeds $165,000, and half the homes are valued at more than $1 million. Eight in 10 residents have at least an undergraduate degree. As early buyers with high incomes, they can easily take advantage of the federal E.V. tax credit.

The incentives are, in effect, “subsidizing my luxury,” said Mr. Teglia, who also has solar panels on his home. The Model 3s he owns sell for about $40,000 before government incentives.

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The places furthest along in switching to electric vehicles typically share three traits, he said: They have high-income individuals, many single-family homes, and early adopters who introduce the idea of going electric to others.

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Making the incentive uniform and turning it into an rebate that lowers the purchase price — an approach states like New York and New Jersey take with their incentives — would do more to encourage E.V. purchases, policy experts said.

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With few used electric vehicles to choose from and no easy way to gauge the health of a car’s battery, they (Scott Eng, pastor of a nondenominational church and his wife) bought a used hybrid Chevy Volt to match the one they already have.

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Electric utilities are also trying to encourage use of E.V.s, which increase demand for power, by installing public charging stations. READ MORE

Excerpt from CNBC:

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Recent recalls or problems with batteries or software of new EVs have included:

GM last month issued a second recall of its 2017-2019 Chevrolet Bolt EVs after at least two of the electric vehicles that were repaired for a previous problem erupted into flames. The automaker said that officials with GM and LG Energy Solution, which supplies the vehicle’s battery cells, identified a second “rare manufacturing defect” in the EVs that increases the risk of fire. The $800 million recall covers about 69,000 of the cars globally, including nearly 51,000 in the U.S.
Porsche recalled the Taycan, its flagship EV, due to a software problem that caused the vehicle to completely lose power while driving.
In April, Ford Motor said a “small number” of early customers of its Mustang Mach-E crossover EV reported the 12-volt batteries in their vehicles wouldn’t charge, preventing those cars from operating. Ford said it was due to a software issue.
In Europe, Ford last year recalled about 20,500 Kuga plug-in hybrid crossovers and suspended sales of the vehicles due to concerns that the battery packs in the vehicles could potentially overheat and cause a vehicle fire. It cost the automaker $400 million.
Hyundai Motor earlier this year said it would spend $900 million for a recall following fires in 15 of its Kona EVs.
BMW, Volvo and others also have recalled EVs, including plug-in hybrid models, due to issues with battery systems. READ MORE